Economic Concepts and Choices

Which of the following is considered a need?

• video games

• food

• movie tickets

• jewelry

The study of how people choose to use scarce resources to satisfy their wants

• choice

• entrepreneurship

• economics

• scarcity

The ongoing tension of not having enough resources to meet human wants is called

• need

• scarcity

• shortage

• choice

Physical products that can be purchased are called

• bonds

• services

• goods

• stocks

The human time, effort and talent that go into making products is called

• capital

• knowledge

• scarcity

• labor

Benefits offered to encourage people to act in certain ways are

• incentives

• motives

• utilities

• wants

The benefit or satisfaction gained from the use of a good or service

• cost

• incentive

• utility

• productivity

The alternative you give up when you make an economic choice is a

• compromise

• option

• trade-off

• utility

A cost benefit analysis is often organized by using a

• decision making graph

• decision making grid

• incentive grid

• incentive graph

The value of what you give up by choosing one alternative over another is called

• marginal benefit

• marginal cost

• opportunity benefit

• opportunity cost